Report No. 30
106. Endupuri case.-
The last case was Endupuri Narasimham v. State of Orissa, (1962) 1 SCR 314: AIR 1961 SC 1344: 12 STC 282, Although it was a case of inter-State sale under the unamended Article 286, Venkatarama Aiyar J. expressed his opinion on both when a transaction of sale or purchase is within the phrase "in the course of inter-State trade or commerce" and when a transaction of sale or purchase is within the phrase 'in the course of export or import". In regard to inter-State sales, the law was state.-
"that in order that it may be exempt it was essential that there is transport of goods from one State to another under the contract. A purchase of goods inside the State for a sale outside is not within the phrase "in the course of" and is, therefore, not exempt from sale1".
And in regard to import-export sales, Venkatarama Aiyar J. observe.-
"it has been held by this Court that it is only a sale or purchase with occasions the export or import of the goods out of or into the territory of India or a sale in the State by the exporter or importer by transfer of shipping documents, while the goods are beyond the customs barrier, that is within the exemption, and that a sale which precedes such export or import or follows it is not exempted, vide State of Travancore-Cochin v. Shanmugha Vilas Cashewnut Factory, 1954 SCR 53: AIR 1953 SC 333 (Second Travancore case).
1. Endupuri Narasimham v. State of Orissa, (1962) 1 SCR 314: AIR 1961 SC 1344: 12 STC 282.
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